I read an article in the NY Times today about a real estate auction in Florida. Now… Florida is NOT Texas, and one could look up “real estate bubble” in the encyclopedia and probably find Florida property used as the first example (for the US anyway). However, I think the same general trend is on our way, but when? The auction model for selling real estate has always intrigued me, and I have previewed several, but only attended one. The auction I went to was at the height of the pre-9/11 New York housing boom, and I went thinking I’d get a good deal.
It was not my day. This auction in Florida was more along the lines of what I was looking for and partially expecting, but possibly not to such a great extent.
I have been waiting with ambivalence for a similar trend in Houston. Houston has fortunately not had quite the irrational climb in real estate prices that other US cities have had, so I don’t expect quite as painful a crash either. If we keep cash on hand will we be able to pick up an enormous townhouse in the Museum District for $80K like in the 80s? Ok.. so adjust for inflation…. Will wee see entire street blocks foreclosed in the suburbs like we did in the 80s? Should investors start getting their cash together? I remember these quite vividly from my youth spent tagging along with my realtor mother.
Hmm… I for one want a swank townhouse at an enormous discount if it happens.
The article: What Statistics on Home Sales Aren’t Saying
